If You Cannot Solve This Trading Issue, You Ought to Find New Work: Overcoming Challenges in Trading

BellaBella Daily Update


Hello Mike,

the same pattern has been repeating lately again and again. I’m not too sure how I can fix it, even though I have been trying to. I would be consistent for a few days and make like $100, $200, $500, $300 and then the next day I would just lose $1000-$2000 therefore wiping out all my profits over the few days. The big loss is usually a result of a multiple trades not just one big trade. After my initial bigger loss and my daily max loss, I don’t stop I keep trading thinking I have been consistent and don’t want to mess up my streak so I will make it back then end up digging a bigger hole plus commissions that really kill me. I know it’s all discipline and I keep telling myself next time I will not make the same mistake but I ALWAYS end up making the same mistake, I’m afraid that I won’t learn and keep making this stupid, stubborn mistake, leaving me unprofitable… Have you had the same experience in your early days, if so how did you get fix it?


Let me offer some context from our desk on how we handle trading past an intraday stop loss.

On our desk if you surpass your intraday max loss then the Floor Manager shuts you down for the day.  If somehow you keep trading past your intraday max stop loss, then you are placed on the demo for a period of time.  This is a violation of trust with the firm.  We allow you to lose up to a certain amount, but not more.  If you lose more, you are not handling firm capital with the agreed upon care.

So how does this relate to you?  You allow yourself an intraday stop loss for your capital.  You should empower someone to stop you out when you hit this max loss.  You should empower someone to place you on demo, if you surpass your max loss limit.  When you do not follow your rules there must be consequences.

Is this an issue of discipline?  My take is this is an issue of you not setting up a system to prevent you from trading past your stop loss.  You have failed to do the pre-work required to stop you from losing too much.

What you are doing is not acceptable.  Purposely bluntly, if you cannot fix this problem, you ought to look for a new profession.

*no relevant positions